How to Get a Travelers Check: Step-by-Step
Navigate the process of getting traveler's checks. This guide explains where to go, what you need, and the steps to take.
A traveler’s check is a prepaid, fixed-amount paper document that functions as a secure alternative to carrying cash, particularly when traveling, allowing individuals to carry funds without the risks associated with large sums of currency. Historically, traveler’s checks were a primary method for managing money abroad, offering security by being replaceable if lost or stolen. This was a significant advantage before the widespread adoption of credit cards and automated teller machines. While less common today, they remain an option for some travelers seeking an added layer of financial protection.
Where to Obtain Travelers Checks
Acquiring traveler’s checks typically involves visiting financial institutions such as major banks and credit unions. While many still offer this service, availability can vary significantly, so contact your preferred institution beforehand to confirm availability.
Some large financial service providers have ceased issuing new traveler’s checks, although they continue to honor previously issued ones. Other issuers still have traveler’s checks available for purchase through partner banks. Certain credit unions may provide traveler’s checks to their members. Currency exchange offices may also offer traveler’s checks for sale.
Required Information for Purchase
Before purchasing traveler’s checks, gather specific information and documentation. A valid government-issued photo identification, such as a driver’s license or passport, is required for identity verification. This ensures checks are issued to the legitimate purchaser and deters fraudulent activities.
You will also need to provide the source of funds for the purchase. Institutions may inquire about the specific denominations you desire, with common options ranging from $20 to $1,000 per check. Upon purchase, you will sign each check in a designated spot as an initial security measure.
Steps for Buying Travelers Checks
Once at the financial institution, the process of purchasing traveler’s checks is straightforward. You will present your valid government-issued identification and the funds for the purchase to the agent. You may be asked to complete a brief application or form detailing the total amount and denominations.
You will sign each traveler’s check on the upper signature line in the presence of the issuing agent. This initial signature is a fraud prevention measure, as a second signature is required when the check is later used or cashed. You will receive the traveler’s checks along with a separate record of their serial numbers, which should be stored securely and apart from the checks for easy reference in case of loss or theft.
Associated Fees and Limits
Purchasing traveler’s checks involves fees. These fees are usually calculated as a percentage of the total purchase amount, often ranging from 1% to 4%. The exact fee varies depending on the issuing institution and amount purchased.
Some financial institutions may offer traveler’s checks to their account holders without charging a commission, waiving the purchase fee. Institutions generally impose purchase limits, defining the maximum amount that can be bought per transaction or timeframe. Checks are commonly available in fixed denominations, typically between $20 and $1,000.